Three quarters of Praguers do not plan to buy real estate in the near future

by   CIJ News iDesk III
2022-06-15   16:29

Buying real estate in the metropolis is becoming increasingly unavailable, so three-quarters of Praguers do not plan to invest in their own housing in the metropolis in the foreseeable future. The reason is mainly high prices. This follows from a survey conducted by the STEM / MARK agency for the Prague Chamber of Commerce (HKP) among 505 respondents. The survey confirmed the desire of Czechs to live in their own, which 83.8 percent of respondents want.

"The situation is not black and white and it cannot be said that the crisis clearly prevails in Prague," commented HKP chairman Petr Michal on a survey, according to which 9.1 percent of people in the metropolis are definitely satisfied, 31.8 percent rather satisfied, rather dissatisfied 28.7 percent of the population and 22.5 percent are definitely dissatisfied (most of them the inhabitants of Prague 3).

The main reason for dissatisfaction in the survey was 76.4 percent of people identified the high price of apartments to buy and 65.7 percent high rents. The quarter is bothered by the lack of flats in the given locality in Prague.

83.8 percent of respondents would like their own housing, and the majority stated that their own housing is greater security and freedom against rent for them. "It's a social status, Czechs like to live in their own," Michal added. Only 16.2 percent of respondents said they did not prefer their own housing, but more than half of them (56.1 percent) said they had no other choice for financial reasons.

The survey showed that almost half (47.2 percent) of respondents live in their own apartment, 34.2 percent in rent and 7.7 percent with their parents. 6.7 percent of respondents are in a cooperative apartment.

But the situation is likely to change. High real estate prices and rising mortgages are affecting people's opportunities. Therefore, 75.6 percent do not plan to buy real estate in the near future. The issue of rental housing will become more and more topical, and there is also talk of so-called affordable housing.

In affordable housing, rents should be 25 percent below the market price and be accessible to the necessary professions (for example, teachers, nurses, nurses, police officers). Such projects are being launched, for example, by Česká spořitelna (ČS), which, following the example of the parent Erste Bank, founded the company ČS Affordable Housing and could offer the first flats within two to three years. "It should be affordable housing, which may not be significantly worse than commercial. However, cities will not save it," said Pavel Kelner, a member of the board of directors of ČS Affordable Housing.

According to Luďek Sekyra, the owner of the development company Sekyra Group, it is necessary to define what is available and what is social housing. "Finding a system solution is important and I haven't seen one yet," Sekyra said. "We are not able to sit down at the same table with us to collaborate on a large project and realize that it is in the common interest for Prague to look something like that."

Source: STEM / MARK and CTK